Vechain in the last 30 Days: Apotheosis, Blockchain X, BMW, University partnership, DApp ecosystem, BitOcean ICO, Carbon banking, Live use cases, Early adopter rewards and more
This post is for those who are new to Cryptocurrency or want to find out more about VeChain. The text “VeChain” has been banned in this subreddit for the last 30 days. For more details about the ban itself, please visit this r/cryptocurrencymeta post. Changes have been made and official channels of communications have been opened up to prevent this from happening in the future.
All feedback is welcome, and all discussion is encouraged, but please no moon-posting, ridiculous price speculation or baseless FUD. Looking forward to answering any questions you guys have 🙂 VeChain Foundation COO Kevin Feng is holding a Business AMA with Boxmining today, so new information is coming very soon.
- VeChain is more than a supply chain solution
- VeChainThor is a global enterprise level public blockchain platform
- Focus on enterprise & government level adoption
- Focus on safety and security
- New DApps: VeVid, VeVOT and VeSCC – Foundation layer for new ecosystem
- New ICO: BitOcean – Fiat/VET on-ramp
- New partners: BMW, Yida Group, Australian 188 Business Alliance Association
- New VeResearch partner: Awaiting formal announcement from University
- New initiative: Carbon Bank alongside DNV GL, Tsinghua University, and government agencies
- New Website: https://www.vechain.org/
- Potential for further growth: 180 business opportunities in the pipeline for 2018
- Currently: DNV-GL at Global Food Safety Initiative – live real-world use case for wine tracking and cold chain logistics solution
- X series node program – Additional rewards to early adopters, staking and long term investment
Updates from the last 30 days
It’s been a big month for VeChain as they have continued to work and share with the community. Here are the updates from their Official Medium channel and Reddit Rebrand Post
- 8th Feb – VeChain’s First Official Public Infrastructural Decentralized Application — VeVID
- 12th Feb – VeChain partners with Australian based 188 Business Alliance Association
- 13th Feb – VeChain COO Kevin Feng’s blockchain lecture transcript in English
- 13th Feb – VeChain Tech Sneak Preview
- 20th Feb – VeChain Signs A Partnership Agreement With Yida Group’s IT Management division, Yida Future
- 21st Feb – VeChain Technical AMA — Hardware Questions Part 1
- 23rd Feb – VeChain Technical AMA — Hardware Questions Part 2
- 24th Feb – VeChain Technical AMA — Software Questions Part 1
- 26th Feb – VeChain Technical AMA — Software Questions Part 2
27th Feb – VechainThor Rebrand Event: BMW, DApps, BitOcean ICO & More
- BMW still under formal NDA. More information will follow, stay tuned.
2nd March – VeChain Financial Executive Report vol. 2
7th March – VeChain pledges 50M VET to create the X Series Node Program
8th March – My Story, The First Ever 3rd-party Initiated, Developed And Managed dApp On VeChainThor
New website – https://www.vechain.org/
It has loads of useful information and a well produced introduction video. I would highly recommend reading through the website to get an idea of the scope of what VeChainThor is trying to accomplish.
“We are controlled by the few, the powerful and the greedy. We should be free. Free to choose, to trade, to create. It is time for a new world, a world founded on safety and security. A world where everything you do creates power, power for all. And you, you will decide the shape of this world. The power to change the future, is in your hands. VeChain.” VeChain Introduction Video
What is Blockchain X?
Blockchain X is a global enterprise level public blockchain platform. VeChainThor is referring to their network/protocol as Blockchain X, to differentiate it from Bitcoin (Blockchain 1.0) and Ethereum (Blockchain 2.0 = Blockchain 1.0 + Smart Contracts).
Blockchain X = Blockchain 2.0 + IoT + AI + VET/VeThor = A living digital ecosystem
- Blockchain = structure – bones, muscle etc (immutable trustworthy network)
- IoT = senses – touch, vision, taste, smell, sound (collect real world information from RFID/NFC/QR etc.)
- VET/VeThor = bone marrow/blood – generate blood & circulate (value transfer on the network)
AI = brain – information synthesis (automation of network with deep learning)
VeChainThor: the top candidate for enterprise and government level adoption of Blockchain
VeChainThor has an extremely strong development plan geared towards enterprise and government level adoption. If successful in their execution, I see VeChain being the leading cryptoasset comparable to Ethereum in size. The reasons I believe they will succeed are due to their ecosystem development, innovative governance model, robust economic model and strong strategic partnerships. The evidence of their success is snowballing with each new enterprise level partner and client.
DApps & Ecosystem development
The infrastructure layer has adoption in mind at the very core. Governments and enterprises will prioritise safety and security before venturing into blockchain adoption. (Mentioned in the introduction video.) The core DApps, VeVID (Verified identity, KYC/AML), VeVOT (Voting, Governance tool) and VeSCC (Smart Contract Certification, Regulatory compliance) provide the safety and security that governments and enterprises will demand. Blockchain X will have built-in KYC/AML, Governance and Regulation compliance. This sets it apart from other protocols and ICO platforms.
The governance model is a balanced mix of decentralisation and centralisation. With problems such as Bitcoin’s scaling debate, it appears that a purely decentralised governance structure may be inefficient. VeChain will use a new model of a decentralised system through centralised channels. The final decisions will be made in a decentralised democratic process through VeVOT by stakeholders with voting authority. I believe this model will be more widely adopted as it retains some of the efficient centralised channels that enterprise & government are familiar with, while still giving overall control to the network participants via a democratic voting system.
The two-token economic model splits the value in the network into VET and VeThor. VET’s primary function is to generate VeThor. VeThor represents the underlying costs of using the VeChainThor blockchain. All smart contract execution and transactions will require payment with VeThor. Through the dynamic rate of VeThor generation, the fiat value of VeThor can be kept relatively stable. For example, if the VeThor price was too high due to an increase in enterprise demand, the VeThor generation rate can be increased, which increases supply, and brings the price back down. The opposite is also true if the VeThor price is too low. The way I see VET is a store of value, a representation of ownership of part of the network and the right to use the network. Whereas VeThor is the perfect medium of exchange and a pure utility token. By using a two-token system, VeThor can have a stable fiat value over a long period of time. A company will be able to calculate how much VeThor will be needed for a consistent fiat value year after year and will be able to budget for this. This is extremely useful for enterprise and government level adoption since it removes the inherent price volatility from a nascent market like crypto.
VeChain also has a Node system, whereby holding VET generates additional rewards. Nodes of different levels will generate up to 200% additional VeThor compared to the base rate. This encourages long term staking in the network and decreases volatility. See the Apotheosis Part II article and X Series Node article for more information. A portion of VET supply will be locked up when nodes activate. Long term VET holders will not sell and downgrade their status. This decreased supply will lead to price increases. Early adopters (Deadline to stake: Before 20th March 2018) will be rewarded in the new X Series Node system. Features include exclusive participation in VeChain ecosystem project whitelists. (Something I’m excited about since I believe there will be a handful of reverse ICOs from traditional enterprise clients)
VeChain is planning on adding more than 100 additional full-time developers by the end of 2018.
For those interested in the technology of Blockchain X, I would direct you to the Medium AMAs where the VeChain team have provided detailed answers to common questions. Hardware 1, Hardware 2, Software 1 and Software 2 are worth a read.
The three strategic partners each play a key role in VeChainThor’s expansion. PWC has clients which make up 85% of the Fortune 500. DNV-GL is the preferred provider of those Fortune 500 companies for management systems certification services. PWC and DNV-GL will serve to introduce their enterprise clients to VeChain and increase adoption. BitOcean is positioning itself as a Fiat on-ramp for Crypto in Japan through physical ATMs and online exchanges, with approval by Japan’s Financial Services Authority. BitOcean also plans to operate in China when regulations are finalised. BitOcean represents a Fiat/VET pairing that may serve to decouple VET/BTC and lead to independence of VET from the whims of BTC price.
Evidence of adoption to date: Existing clients & Investors
VeChain currently has 180 business opportunities in their pipeline for 2018 (compared to 4 use cases in 2016 and 22 in 2017). They have real uses cases and existing clients that range from medium to large enterprises. Revealed clients include Chinese Government Gui’an New Area project, BMW, Groupe Renault, DIG, Kuehne + Nagel, China Unicom, NRCC – State Tobacco, MLILY, Sunshine culture, Hubei Sanxin Cultural Media, Fanghuwang, YIDA future, Madeforgoods and iTaotaoke. Each of these partnerships deserve a detailed post on their own, they are all available on VeChain’s Medium page. Taken together, it becomes clear what type of Ecosystem VeChainThor is trying to build.
Jiangsu Printed Electronics and Xiamen Innov Information Technology are technology partners and I suspect will be mass producing the RFID/NFC chips.
Breyer Capital and Fenbushi capital are the two featured investors on VeChain’s website. Jim Breyer generally makes some pretty smart investment decisions. His only other crypto investments are Circle and Ethereum.
Bonus news: This week they are presenting with DNV-GL a cold chain supply chain solution at the Global Food Safety Initiative conference 2018. Zoom in and you’ll see VeChain Intelligent Control Display System. DNV-GL have also launched their new digital assurance solution, My Story™. Four top Italian wine producers are using My Story™ under supervision of the Italian wine authorities. Twitter and DNVGL link.
China is widely known to be anti-cryptocurrency but extremely pro-blockchain. China’s “13th Five year plan 2016-2020” focuses on moving up in the value chain by abandoning old heavy industry and building up bases of modern information-intensive infrastructure, with blockchain and Smart Cities being a key technological focus. VeChain has achieved approval from the Government of the People’s Republic of China with Gui’an New Area project, multiple mentions on state owned media (CCTV) and deals with state owned enterprises (China Tobacco). China will not fall behind in the international Blockchain race, they will finalise regulations and adopt Blockchain rapidly in the coming years. VeChain appears to be one of the leaders in the field, with their largest office in Shanghai and existing government connections.
Leader in the field
Last but not least, VeChain is leading the field in a number of areas.
- Academic research: VeResearch with Michigan State University #1 for supply chain management and another university to be announced
- Transparency: quarterly financial reports, regular social media updates, multiple AMAs, response to r/cryptocurrency ban, directly addressing FUD in official Telegram channels
- Corporate responsibility: cryptocurrency disaster recovery plan
- Environmental responsibility: Carbon bank initiative with DNV-GL
In the interests of balanced discussion, I will update this section with skepticism I find in the comments below.
- VeChain are working on a Whitepaper as part of their Q1 2018 goals. Information normally found in a Whitepaper has been made available through the development plan. I’m actually not too fussed about not having a whitepaper. For me evidence of enterprise adoption is a more useful indicator of how successful VeChainThor could be.
“No official wallet” “No Mainnet”
- VeChainThor has been operating as a private blockchain since June 2016. Public VeChainThor Blockchain Launch, VeChain Wallet with VeThor Forge Function will be released in Q2 2018 according to the roadmap.
“VeChain are dumping their VET on the open market”
- False FUD. Addressed by VeChain Foundation directly in the Official Telegram channel.
- Telegram quotes from Sunny Lu CEO
- Telegram quotes from Kevin Feng COO
“Can we talk about the fact that the BMW “partnership” is not really a partnership? VEN is allowed to participate into a startup program hosted by BMW. BMW is not a client. http://www.bmwstartupgarage.com/partner ” – u/DutchDolt
- “BMWstartupgarage” has neither been confirmed or denied by BMW or VeChain, it has been spread by a youtuber called “Crypto Gem”
- Going to the website linked, BMW refers to successful participants as both partners and clients
- This is still a developing partnership with details under NDA, however the VeChain/BMW link has been confirmed at the VeChain rebranding event and by Sarah VeChain Country Manager
“Vote manipulation” “Shilling” “Brigading”
- In the past VeChain Telegram Moderators wilfully participated in brigading, leading to the ban on the word “VeChain” for 30 days in r/cryptocurrency
- It is difficult to differentiate manipulated behaviour and organic behaviour on Reddit, the moderators here do an amazing job getting rid of spam and detecting vote manipulation
- The Official VeChain Foundation has stepped in to help Reddit moderators prevent VeChain vote manipulation
- Official Telegram Rules: Brigading & Reddit links: We have a new policy regarding Reddit and ‘brigading’. No brigading of any kind will be allowed. If you want to post a Reddit link, do so with the “np.” prefix added to its URL, for example “np.reddit.com /r/CryptoCurrency”. No spamming for upvotes, as it hurts both of our communities.
- This is strictly enforced by Telegram moderators and results in a warning then an insta-ban for repeat offenders
- https://imgur.com/a/sOva9 is being copy-pasted en masse by detractors as evidence of brigading
- Image shows Boxminig feeling sorry for WTC PR team and a “np” link to a different thread _________________________________________________________________________________________
An interesting perspective supported by CEO Sunny Lu
/u/NTSpike: VeChain Thor Is Positioning to Become THE #1 Enterprise dApp Platform, and Here’s Why – A Systems Analyst’s Perspective
Disclaimer: My holdings are 80% VEN and remainder in NEO, WTC, TKY, XRB, AMB
submitted by /u/enozym111
Written by /u/enozym111 @ https://www.reddit.com/r/CryptoCurrency/comments/82upxr/vechain_in_the_last_30_days_apotheosis_blockchain/ March 8, 2018 /u/enozym111